Killing Australian car manufacturing – dumb and dumber

Yep the closure of Australian Car Manufacturing says everything about the ignorance and stupidity of our politicians and many of our economic commentators.

The Glass Pyramid doesn’t care whether we produce cars or not BUT it does care that a local industry is closing for no other reason than our ‘economic’ commentary class are idiots when it comes to understanding the significance of capital flows in an age of currency warfare.

If the effective tariff on local workers and industry generated by massive unproductive capital inflows was removed, or at least severely restricted, and the car industry was still unable to survive – with or without subsidies – we would be having been a different discussion but the fact is that we are allowing our trade rivals to crush our car and other export or import competing industries with blatant currency warfare in the form of predatory capital flows. Continue reading